China Trip Report

Shanxi, Shaanxi and Shandong Provinces - September 2002

From September 9 through 25, 2002, FAS analysts visited Shanxi, Shaanxi, and Shandong provinces in China. The purpose of the trip was to gather information on current crop conditions (2002/03 summer crop harvesting, 2003/04 winter wheat planting) and to compare the agricultural situation in two very different parts of the country – the North China Plain (Shandong) and the Loess Plateau (Shanxi and Shaanxi).

Image Gallery - Introduction

The trip was divided into two parts. From September 9 through 19, the FAS analyst was a member of an interdisciplinary team sponsored by the US Scientific Cooperation Program of FAS' International Cooperation and Development Program Area (ICD), hosted by China’s Ministry of Agriculture. The team went to the Loess Plateau region (Shanxi and Shaanxi provinces) to study China’s vast deposits of loess (wind-deposited) soil, to exchange information on agricultural techniques and erosion control, and to investigate how China’s thousands of years of farming experience on loess soils could apply to farming in the Paloose region of Washington State where similar soil is found.

The second part of the trip was a short visit (September 22 through 25) to Shandong province by this analyst and personnel from the Office of Agricultural Affairs, US Embassy, Beijing, which supported the trip. Shandong, located in the heart of the North China Plain, is one of the most important producers of grain, oilseeds and cotton in the country. One reason for visiting Shandong was to evaluate the impact of abnormally dry weather in July and August on 2002/03 summer-crop yields and 2003/04 winter wheat planting.

Shanxi and Shaanxi

Observations and Comments

Shanxi and Shaanxi provinces have a very diverse geography and temperate climate that allows them to produce a wide variety of crops, including corn, wheat, millet, other food grains, potatoes, fruit (especially apples), vegetables, cotton, and other cash crops. The most productive farmland in Shanxi is located in the wide Fen River valley, while Shaanxi’s fertile Guanzhong plain is considered the birthplace of agriculture in China. However, both provinces have large areas of mountains and dissected plateaus where agricultural production is hampered by many factors, including poor transportation, lack of investment, forbidding terrain, water shortages, weather extremes, and soil erosion .

Image Gallery - Shanxi and Shaanxi

Crop conditions in mid-September were generally favorable in the areas visited in Shanxi and Shaanxi. Soaking rain during the preceding week had raised soil moisture for filling summer crops and improved moisture reserves for upcoming winter wheat planting. The crops and natural vegetation looked healthy and appeared to be growing well, although development may have been delayed somewhat by the cool and wet weather. Corn was generally in the milk/dough stage and harvesting was expected to start in about 30 days (mid-October). There was no evidence of heat stress or serious disease, and yield prospects were normal to good for corn, soybeans, and millet. Some of the potatoes seemed to be affected by blight or frost, but local officials were not concerned.
Thousands of greenhouses (each about 0.16 acres is size) surround the cities and dot the countryside, producing vegetables, peppers and other cash crops. Large orchards of apples, pears and other fruit trees were seen throughout the region and new trees were being planted widely. Although the climate is well suited for fruit production and the government has encouraged farmers to grow more cash crops, it’s possible that the rapid expansion of planted area could result in over-production and depressed prices in the future.
Local farmers have made heroic efforts over the centuries to expand crop production by increasing the amount of arable land, but their methods (cutting down forests, building steep terraces, excessive double cropping, etc) often led to environmental damage and uncertain harvests.
Farmers in Shanxi and Shaanxi are now gradually adopting a more sustainable agricultural system with the help and encouragement of government policies, scientific research, and market signals. Marginal land is being taken out of cultivation, reforestation and grassland restoration is increasing, the introduction of new and better crops and cropping methods have resulted in higher yields and output, and improved roads have opened wider markets for Shanxi and Shaanxi’s agricultural products. However, farming practices in the region are still rooted in ancient traditions and are dependent on large amounts of manual labor. For example, most planting and harvesting is still done by hand, and donkeys are commonly used as draft animals. Food-processing facilities are limited and distribution remains a problem.
Over the past two decades the region has grown prosperous as it became more integrated into the national economy. New roads have been built and dynamic cities are generating jobs, income, and markets. Energy resources are being developed (Shaanxi and Shanxi have some of the largest deposits of coal and oil in the country), efforts are underway to protect the environment, and crop production has increased even as planted area declined. Although the economy and agricultural system is not as advanced as on the North China Plain, the situation is improving.

Shandong

Observations and Comments

Shandong province is one of China’s top producers of wheat, corn, and oilseeds. It is the nation’s largest producer of peanuts and a major producer of cotton, soybeans, fruit, vegetables, and other cash crops. Its location on China’s east coast gives it easy access to major population centers in northern and central China as well as international markets. With a population of more than 86 million people in an area 1/3 the size of France, it ranks third of all provinces in population but second in terms of population density. Shandong has a temperate continental climate, with an average annual rainfall of 650 – 700 mm (26-28 inches) and a frost-free season of 150 to 200 days. The Yellow River runs southwest to northeast across Shandong and plays a critical role in providing water for agricultural and urban use. Jinan, the capital, is a modern and sprawling city with a population of more than 5 million, about the same as Cook County (Chicago) IL.

Image Gallery - Shandong

Many factors combine to make Shandong one of China’s most important agricultural provinces. It receives enough rainfall and growing degrees for two annual harvests (winter wheat/summer crop) and it has a well-developed irrigation network to reduce the impact of drought. It has flat plains covered with fertile alluvial and loess soils, an adequate supply of agricultural inputs, and a good transportation system. Hybrid and BT crop varieties are widely used, and the province is a leader in the production of high-value crops.
At the same time, agriculture in Shandong has some limiting factors. For example, the aquifer is being depleted at an alarming rate and the cost of pumping water for irrigation has increased. Saltwater intrusion has become a problem in the Yellow River delta. Droughts can occur at any time of the year, while floods on the Yellow River are always a threat. Valuable farmland is being lost to urban expansion and industrial development, and the traditional practice of burning crop residue instead of returning the organic material to the soil has lowered soil fertility as well as causing terrible air pollution.
Summer crop harvesting was underway in late-September and progressing rapidly under ideal conditions (warm, dry, and windy). Harvesting was expected to be complete in a couple of weeks (mid-October), followed immediately by winter wheat planting. Most of the activity concerned corn, the dominant summer crop in the province. Corn ripening in the fields, huge piles of harvested ears on the ground, hand-husked cobs and shelled corn drying along the side of the roads, and corn stalks being gathered and burned were observed. The farmers we questioned expected below-normal corn yields for 2002/03 due to drought earlier in the summer. They said this was especially true for non-irrigated crops in the northern part of the provinces where the rainfall deficit was greatest. Crops grown under irrigation near the Yellow River appeared to be in very good condition, but non-irrigated crops to the south and in the mountains looked stressed.
Only a little cotton was seen on this trip. Shandong’s cotton area had reportedly dropped in 2002/03 due to low prices and poor weather at planting. Summer weather had been drier than normal and production was expected to be lower than last year. Most of the cotton plants had open bolls and some picking had taken place, but the average boll size was small and the count was low. There were also many immature bolls that would not be harvested this year.
Farmers were preparing their fields for winter wheat sowing (clearing corn residue, raking the soil, forming ridges to channel irrigation water) but they expressed concern that the current dryness would cause planting delays and inhibit germination. Soil moisture was very low, but autumns are normally dry on the North China Plain so the chance of getting a soaking rain was diminishing daily. Farmers in this area will sometimes apply irrigation to the newly planted crop to help germination, but surface and underground water supplies are becoming more scarce and difficult to obtain.
Arable land and water resources are very limited in the mountains, the poorest part of the province. The slopes had been carved into steep terraces built ages ago when the need for food was critical, but many terraces were now abandoned. Improved yields in other areas had reduced the need for production from these marginal fields. In a few areas, local farmers were taking advantage of a government “homesteading” policy that allow them to lease large areas of abandoned land at low cost for an extended period (30 to 50 years) if they promised to bring the land back into production and control erosion.
Shandong is a relatively prosperous region with a rapidly expanding economy. Highway construction and urban expansion are taking thousands of hectares of valuable farmland out of production every year, and the rising population is putting great stress on water resources. Air pollution and traffic congestion are very bad in urban areas and will certainly get worse. It will become increasingly difficult to balance the demands for water from the rural and urban sectors.

Additional Background Information

For more information, contact Paulette Sandene
with the Production Estimates and Crop Assessment Division,
Center for Remote Sensing Analysis at (202) 202-690-0133.